Intel’s stock price has dropped to a 5-year low of $29, following an extended period of unrest across Wall Street. The chipmaker’s share price has plummeted by as much as 46% through the course of the last 12 months, going from $55 back in October last year to just $29 at the time of writing. The Blue stocks have essentially halved in value.
To keep earnings in balance, Intel plans to spin off its Mobileye division, hoping to fetch as much as $30 billion for the same, twice as much as the $15 billion it cost to acquire it back in 2017. Gelsinger hopes to fund the chipmaker’s future expansions using the proceeds from this sale.
The CHIPS Act was passed a short while back. Aimed at reinforcing the American chipmaking industry, Intel is expected to be one of the primary benefactors of the bill. Regardless, its share has fallen by 22% since the passing of the act.